The South African Music Performance Rights Association (Sampra) has opened a criminal case against restaurant chain group Life and Brand Portfolio for unpaid royalties.
Life and Brand Portfolio owns a chain of restaurants. These are La Parada, Tiger’s Milk, Harbour House and Grand Africa. Also Lucky Fish and Chips, Live Bait, The Lookout, and Old Town Italy.
Music licence fee at centre of dispute
The organisation opened the case at Woodstock Police Station in Cape Town. It accuses the restaurant group of failing to pay the applicable licence fee. The fee is related to music that Sampra manages on behalf of its members.
In a statement seen by Sunday World, Sampra alleges that the restaurants have been playing music belonging to recording artists and record companies at their stores, unlawfully.
“They have refused to pay the applicable licence fees that would enable them to comply with the prescribed legislative provisions. This effectively means that the artists whose music is used by these restaurants will not be able to earn [anything].
Artists deprived of royalties from music played at eateries
“They will not earn Needle Time Rights royalties. Even though these restaurants are making money in their restaurants as a result of using their [artists’] intellectual property,” reads the statement.
Sampra CEO Pfanani Lishivha said over the past four years they have been trying to negotiate with the group to pay the licence fees due. “As we are aware that they are using our members’ music in their establishments,” he said.
“Life and Brand Portfolio is, however, adamant in its stance of using music illegally. Therefore depriving recording companies and artists of their right to earn income from their music.
Illegal and unethical conduct
“We have now opened a case against Life and Brand Portfolio for their illegal and unethical conduct. We cannot stand by and watch Life and Brand Portfolio exploiting the works of our recording artists. We have a duty to ensure that recording artists get what is due to them.”
Lishivha added that Sampra has had discussions with non-compliant music users such as Food Lovers, JMVR Group, and Andiccio. It aimed to get them to do the right thing and get licences for their businesses. By so doing, they can use the music legally.
Litigation last resort
“Litigation is not our preferred approach when it comes to licencing music users. It really is a last resort. We cannot, in good conscience, allow businesses to exploit musicians while we stand by and watch. Musicians also have families to support and financial obligations to meet. If we do nothing, we would have failed an extremely vulnerable group of people” said Lishivha.